From Rent Struggles to Mobile Hustles: Affordable Housing Secrets | Jake & Gino Podcast

[00:00:10] Hello, brothers. It's Jake Stenzia, my host of Jake and Gino Podcast, with my co-host, a multi-family mentor, the coach, the chef, the father, the best-selling author, the G Daddy. Gino Barber. Gino, how's it going? Jake, I'm doing good, brother. How you doing? A little rumbling, bumbling, stumbling there. Always making it happen, big man. Today's guest is a mobile home expert, affordable housing advocate, and developer. A lot going on there. You know, sometimes it's more segmented. He is dedicated to creating affordable housing through mobile home parks, which he believes offers

[00:00:40] untapped potential and growth opportunities and financial stability for families. So without further ado, Franco Perez, welcome to the show. Thanks for having me, guys. Pleasure to be here. So Gino really wants to know the origin story and how you got into mobile home parks because he's, you know, I'm asking for him, but that's a Gino question there. Yeah, sure. I guess long story short, I did immigrate here from the Philippines at a young age or at about 11 or 12 years old. Grew up here,

[00:01:10] moved around a lot within California with immigrant parents. And then at about 17, 18 years old, I had a weird family situation where my parents split. My dad was the main breadwinner. He left us. And I just immediately had to start working two jobs just to support my single mother and my younger sister. And I remember that vividly because we were working, we were both working two jobs and barely keeping up with rent.

[00:01:39] And that was such a hard time for us. We were even collecting cans after. And at the end of every month, we had the stress of just not knowing if we were going to be able to pay our landlord or not. Right. And it was then that I realized the importance of affordable housing. And I really hated the world of like, hey, how come the rich and wealthy get to benefit from homeownership while we're just struggling, keeping up and in that rat race of renting?

[00:02:08] After that, I kind of, I kind of, I kind of, I kind of, I kind of, I kind of, I kind of wanted to be a graphic designer, but I was doing that for a real estate company and I asked for a raise. They didn't want to give me a raise and they were like, hey, how, why don't you start selling real estate? So I started doing that and not knowing anything. I became really good at it. Door knocking, cold calling, did well. And once I was finally financially stable, I was doing, I was doing a ton amount, a good amount of sales.

[00:02:36] But I, I ended up hating being a real estate agent because I felt like I was just helping all these investors get their second or third home in our area. And I, the biggest part that I hated was I had to tell the people that were in my shoes back then. I said, I had to say, hey, you don't make enough money. You don't have enough saved as a down payment. You can make more and save more and I can help you later down the line. And that to me hurt me so much because I knew that when I was in that position, nobody was helping me either.

[00:03:06] And I questioned like, why is there so many people dying to help the rich and wealthy and there's nobody available to help the middle class or low income? Right. So I set up to work for the government on affordable housing. I kind of hated that too. And I accidentally stumbled across mobile homes and mobile home parks. And from what I thought was like trailer trash, like a place for criminals come to find out there's a lot of families that are here.

[00:03:36] They're making their financial security and financial start in these mobile home parks. And I just kind of went all in from there and found a lot of these myths to be false. A lot of things about depreciation or poor quality housing or poor quality communities to be false. So built a business around helping people transition from that rental rat race into mobile homes. And then they're able to transition from mobile home to single family.

[00:04:05] So along that, I know that was drawn out, but, but that's kind of our, my story and how I got into it. Jake, you see, that's why you need to find the backstory of why somebody is investing in mobile home parks. Because for me, that's not the asset class that I would want to invest in, but somebody who is actually going towards their sole purpose and their mission in life. And if they can add that into what, what they're trying to do on a daily, daily basis is going to be more successful.

[00:04:31] It's not the vehicle. It's why you're driving the vehicle. That makes sense. Now, Franco, you're in mobile home parks. What did that first deal look like? How did you even start learning about mobile home parks? Because there's not a lot of resources out there and it's not a sexy asset class. Yeah, it really isn't. And it's funny you say sexy because that's like literally our Instagram brand. We call it sexy mobile homes now to bite that. I know. I see the pink light in the background. Gino was like, ask me if you're in a strip club through text. I said, no, I don't think so. I think it's, I think it's, I think it's sexy mobile homes.

[00:05:01] It's actually, the funny thing is Jake is the one who's thinking that I didn't even, that was a lesson that crossed my mind and he's blaming me. I got the text right here, Gino. Okay. I got the text right here. Phones on airplane mode, brother. So yeah. How did I learn about it? I mean, I guess it was really a deep study of kind of like, what is the scope of real estate look like? Right.

[00:05:25] And I'm kind of in an area in the Silicon Valley where housing is like at the worst part of the country. But the sad truth is it's kind of like. In what sense? As far as affordable housing and kind of where it's going. But the sad part is, is that it's kind of the future of a lot of Metro cities as well. We have rising home prices. The average single family home price in our area is about $1.7 million.

[00:05:52] And then to rent, to rent for a family of four, like a two bedroom, two bath, it's about $4,000 a month. Right. And understanding that if you're, how does a teacher or a couple of middle income be able to save up money when they're paying all of that money towards rent? And if they wanted to buy a single family home, 10% down, that's $170,000 as a down payment. And then they're going to end up with a $9,000 mortgage at minimum.

[00:06:22] Right. So how does, why would someone ever, how, how would someone transition from a rental situation to home ownership situation where instead everyone's just moving out of the area? That's, that's my thing is like, I, I'm almost like, why isn't there been more of a great awakening? If you're a teacher, why would you ever live in the Silicon Valley? You know, every teacher, you know, in my mind should move to Dallas. I'm not in Dallas. I'm just saying you immediately, everything gets cut in half in pricing and your, and your life gets a lot easier.

[00:06:51] Right. Like it just, it's crazy. But the issue is I was listening to Bill Maher on one of his shorts on Instagram. And the issue I think most Californians is they, they live in denial. He's complaining about the 13% state income tax that he's paying and he's paying a lot and he's getting nothing. And that's been going on forever. I mean, have water in the fire hydrants, please have people like you're spending $7 billion on homelessness when you could have taken that money and created the affordable housing. I mean like all this problem that you have. You could do a lot with that, right?

[00:07:19] You're wasting so much money. That's the problem that I think people are starting to realize that time out here. We're wasting a lot of resources, a lot of money going to other countries and just paying these stupid expenses that money's getting lost. And I think that's the problem. And that's driving up inflation. That's driving up housing. That's driving up everything. But Franco, I want to bring it back to the mobile home parks.

[00:07:43] And when you're looking at these deals, if I'm thinking about investing in mobile home parks, what are some of the things that you're looking at as a mobile home park investor? Some of the KPIs, some of the metrics, maybe such as cash on cash, debt coverage ratio. What are you looking at that make a deal really good for you in mobile home park investing? Yeah. Yeah. I want to touch on what you said real quick because it is important on why people are kind of staying in these areas. I believe that every area deserves- If you got the money, okay, it's one thing.

[00:08:12] But if you really don't, right, that's where I'm like scratching my head. But please carry on. Yeah. No, totally. I want to finish that thought real quick because when a single family home is that high and rent is that low, the big comparison in the middle and why I've found mobile homes to be a perfect middle ground is that these numbers are going to sound high for a lot of people in this area. But in our area, a nice newer mobile home is about $350,000 with about- Is that like a double wide with like vinyl and everything?

[00:08:42] Correct. Correct. But to paint the picture of how that looks financially is like instead of putting $170,000 down, they'll put about $35,000 down, which is much more attainable. Their mortgage would look like about $3,200 a month with the space rent kind of like an high HOA of $1,000. Yeah, I was thinking it'd be less, but yeah. So with that, their payment is now about $4,200 a month, just a little bit more than renting.

[00:09:08] But they're able to use their finances to kind of build wealth, pay down a mortgage. And these homes have been appreciating by over 8% on average, which allows for them to kind of have that sense of financial security in housing and still stay in this area. It allows a teacher to stay in this area. It allows whatever people normally stay here because they are- It's finding solutions to stay, but it's challenging. Correct. Correct. So that's kind of what we've found out.

[00:09:38] And to your second question, Gino, is what we're looking for deals-wise. The thing is, is we do more on the infill. So we do help with people transitioning to buying and then help people that are selling in the mobile home world. But the big thing that we're doing now is converting these older homes that have been here since the 1970s into larger, sexy mobile homes like we were talking about earlier. Pink lights and everything. So it's funny that you refer to the lot rent as HOA.

[00:10:07] What are you seeing for lot rents in your area? Lot rents are average about $1,100 a month in our area. But in Malibu, they're like double that. But in outside, every area and every market has its own different dynamics. As soon as we go like an hour and a half out- There's mobile homes in Malibu? Yes. So I just get this perception. I'm not very exposed to California. So I'm getting the NIMBY people and there's not a ton of mobile homes, not in my backyard kind of thing. And thinking there's not a lot of them.

[00:10:37] But there's a good amount of mobile homes you're saying. And are planning commissions approving these things? Are you mostly replacing the old? We're mostly replacing the old, but only in the last year and a half that we're starting to see governments start to realize that this is really an affordable solution. So we have new parks being developed, several in Montana and Texas. What about California? And we have two in the works in California that haven't broke ground yet. Nice.

[00:11:06] But the thing to really understand is that we have to look at where our country is going. We have a huge labor shortage that's happening. All the millennials and younger, they want to be in tech. And all of our labor is currently like 45 years and older, and they're about to retire. And all the younger generations are not excited about working with a hammer or doing labor to get this work done.

[00:11:36] So the cost of us doing construction is going to get more and more expensive. And then also, I like to use this concept of cars, but cars were originally only built for the rich and wealthy. And it was only until we were able to put it on an assembly line in a factory that we were able to make cars accessible for everybody to afford. Right. And that's exactly what we're doing. Historically inaccurate, though, in the sense that homeownership was, I think, affordable at times throughout the country. And it's just recently, you know, so it's I get the analogy.

[00:12:06] But yeah. Yes. Yes. And I wasn't referring to the real estate side part of it. However, now I'm kind of referring to how we build the homes. Right. So now we're able to bring that back to the more affordable. But now we're building these homes.

[00:12:22] If you see our videos in our factories, we're building these homes on an assembly line with in a streamlined fashion, keeping it in a controlled environment, saving on material, saving on lumber, saving on transportation costs and being able to build a home at a third of the cost that it would. And on. No doubt. Right. So that's really where our future of our country labor and construction. Let's talk about labor for a second, because I think it's interesting.

[00:12:50] And I agree with everything that you're saying, but AI is on the rise. Right. Everybody wants to be in these tech jobs or work from home kind of thing. Right. Mm hmm. If they don't increase welfare because there's not going to be enough jobs for everybody to do that. Right. If everyone wants to do that, everyone wants to sit from home. And then you have, you know, basically needs in the, you know, skills, the trade markets. Right.

[00:13:16] I think people are going to be forced to adapt and go back to some of these jobs because that's where the need is. And that's where the money will be in the sense that, you know, I think as tech gets more efficient, you know, will there be a decrease in the amount of opportunities, you know, for people to take them? And if you can't get the tech job that you want, what do you do? Mm hmm. Do you go learn some plumbing? So that it'd be interesting the next 20, 30 years to see if there's a shift there. Yeah.

[00:13:45] I mean, it may not be right. Who knows? But it seems like there's going to be a need there. There it is. We all see it. I mean, we already see it now where like plumbers and electricians are the new millionaires of the next generation. Millionaire next door, drinking a Coors Light and making a quick millie. Right. Exactly. So it's all supply and demand. Right. So if we know that the future isn't going to have less supply and demand, yes, there's going to be people that will transition. And I will be honest, though.

[00:14:11] They got to watch it because I had the plumbing company I've been using for years sent over like a millennial type plumber. He had some like cowboy boots on. He thought he was slick. Terrible experience. The guy was awful. You know, give me the old Joe. I want the 45 year old guy, but I guess we'll we'll settle if we have to. You know what I mean? It's just the attitude and the service wasn't there, but maybe he'll learn. So we'll see. Yeah. Well, with that. Yeah. It's the key is like not just on the labor element. We want to maximize the labor with that.

[00:14:41] You're talking about AI and tech. When we are in a factory and when we are on an assembly line, it's much easier to study the process. Just like, you know, let's say Elon on the assembly line and that type of thing. You can use better machinery, better process development. And you're able to hire a full time electrician that's consistently working on only electrician work like for eight, nine hours a day. And without having to deal with travel and back and forth and transporting tools. Right.

[00:15:11] So it's really optimizing and squeezing as much value out of each employee on the labor side, while also taking advantage of the process development and creating these homes that have much. What about like aesthetically speaking? Are you doing pretty much like single and double wides or are they, you know, doing more with like modular and better looking homes to dress up some of these communities? We do both. And we have a different strategy for like higher expensive areas.

[00:15:38] We're doing the fancy, the fancy like we just did one where it's like 13 foot high flat ceilings, quartz countertops throughout. Wow. You know, standalone. Double wide? Correct. I mean, we do three and even four pieces. So triple and. It's Legos, Gino. And what amenities do you have in the properties? Are there amenities like pools and clubhouses and fitness centers? Do you have those in your communities as well? Yeah. Yeah. So we have some that's right up against a golf course.

[00:16:08] We have some with spas, saunas, pools. And these are things that we're kind of really showing the world that these are like beautiful communities. They look like luxury communities and they also have a sense of community like with the people as well. They have Christmas parties together. They host potlucks. And that's something that we kind of miss out on in a lot of these cities. They don't get to know their neighbor. But here you really see that sense of belonging with a lot of the residents and stuff too.

[00:16:37] So, Frank, when you're underwriting a deal, what gets you excited when you're underwriting a deal? I mainly focus on the construction element. So we basically look at it as a perspective of, hey, if you own this home, this is what we can. Our sample, our average construction replacement is about like 300,000. Right. So we'll take, hey, Mr. and Mrs. Jones, you have a home, a single wide that's worth maybe 100,000 right now.

[00:17:04] If you can't find a place to move to, what we should do instead. What's worth 100,000 though? Because I just want to get clear. So they don't own the lot. Right. But and it's hard to sort of get the trailer out of there at times like it's expensive. So are you saying the actual the actual trailer itself is worth 100,000? That seems very high. Is that is that the case? None of that. No, it's a great question. It's really just like you said, Gino, it's dependent on where it's at.

[00:17:33] So just like location wise, it's kind of like commercial real estate. They don't own the lot, though. You own the rights to the lot. Right. So you secure the lease to that. When you buy into the community, you own that space that you're in and you have the rights to kind of build upon that and own the equity that's involved with being tied to that lot. You don't own the land. That's that's correct. But because you're in a location. You're selling the lease in a way. Exactly that. Interesting. Interesting. Well, good. That's I mean, it's better.

[00:18:02] It's better than I was imagining that for the person in the in the trailer. Yeah. Yeah. So somebody owns a lot. They have a single wide that's been on there. That was the first home that they were able to purchase. Now they have a growing family. We'll basically help them convert their old home. We actually tear it down and throw it to the dump, unfortunately. But we put it. That makes more sense. OK, yeah, I got you. So we put a brand new home for about three hundred thousand. But we I mean, we use financing.

[00:18:31] But by spending that three hundred grand kind of as a like you would understand this on the real estate side. Now their value, their equity. I mean, the home worth is now about four hundred to four hundred fifty thousand dollars. That's the amount that they that someone else would be able. And the more people do that in that community, the probably the more the value goes up for the neighbors as well, because it becomes, you know, more gentrified for lack of a better term. So exactly that, Jake.

[00:18:58] So so we're able to kind of build more value in that area and essentially building more affordable square footage and also very quality square quality quality housing for more people. Franco, correct me if I'm wrong, but these homes are referred to as manufactured homes, not trailers. Correct. Correct. So, Jake, let's use the proper terminology. They're not. You know, get off your high horse. All right. Loser. Come on.

[00:19:24] I'm just I'm just trying to deliver accurate content here. They used to be called trailers in the 80s. Now they're manufactured homes. Let's keep up with the marketing, brother. Yeah. Not completely incorrect, but we are like kind of for simplicity. We're removing the trailers and putting in manufactured. Right. That's that's. You could be removing the manufactured homes and putting in a trailer. Like whatever. It just if you just have a ton of money to play with.

[00:19:52] And listen, before we get to the short answers, you said you were going out to Atlanta and you're really getting out of your market, going into different markets. What is going into different markets look like for you? Yeah. And sorry, I keep serving that last question. But the the now we do a lot of the conversion. But now what we're doing is understanding for park owners and how they can look at parks. And then also like, hey, if I buy this park, Franco, what can you do with this park? How do we convert a ton of housing into that?

[00:20:21] And then kind of underwriting that. But but when the park purchasers are looking for deals, usually look for a community that's near a very expensive or growing market that does have old stock inventory. And then we are able to kind of be that consultant in converting a lot of their old homes and new ones. And then essentially they could buy a four million dollar mobile home park in an area.

[00:20:47] And, you know, they come in, they spend with us about a million or so. And then now their new valuation of their park could equate to about eight or 10 million. Right. So there's there's deals like that that do happen. And then, Franco, let me ask you real quick, though, as far as utilities, water, sewer, where do you want public utilities or do you want, you know, or I guess town utilities or would you look at something that has septic on it?

[00:21:15] The preference is public utilities, but you don't want to overlook, you know, if it does have septic or if they're in that type of thing. Sometimes the harder projects to work with are the ones that nobody wants, but you can find a better deal. Yes, I agree. So and as far as your question on the Atlanta area, you know, with us, we are looking for partners that want to do a similar thing to what we're doing in other areas.

[00:21:44] We're doing that in Atlanta now where housing, you know, our numbers I know I mentioned are super high, but in Atlanta, single family homes are about like 300, 400,000, where renting is about like a thousand dollars a month and the mobile homes themselves are about like 150, but which still allows to build that stepping stone in between for housing, for people to have that social mobility of their finances. Right. Jake, one more question real quick.

[00:22:11] Are you going to have to move manufacturing to Atlanta or will you be able to do it in California and just ship things? What's the easier, more preferable way? There's already factories in Atlanta that are doing a similar thing and focused on modular and then we can work with those and integrate what we're doing. Okay. Thank you. Cool. All right, guys, let's take a quick timeout to hear from our sponsor. This episode of the Jake and Gino podcast is brought to you by Wheelbarrow Profits, the premier multifamily education community.

[00:22:41] Wheelbarrow Profits proof is in their results. Their members have closed over 86,000 units. That's over $5 billion in student deal volume. Are you serious about taking your real estate game to the next level? Do you have the confidence to take action? Schedule a call with the Wheelbarrow Profits team today and supercharge your real estate knowledge. Build lasting relationships through unparalleled networking opportunities. Obtain lasting knowledge on how to buy multifamily real estate with intensive training.

[00:23:08] Gain hands-on experience through their live events with like-minded individuals and industry professionals. All while experiencing the personal touch and family atmosphere that set them apart. Visit wheelbarrowprofits.com for more information. All right. We are back. So talk about some of your investments. Have you looked at parks where you go and buy the lots and then you basically work directly

[00:23:33] with the residents to get them into new modular home ownership? Manufactured home. I still call it home. Manufactured home. I tried to try and go see what I'm up against. I gave them the vernacular. Can we get the folks some new trailers? That's what I'm asking. You know, for simplicity, honestly, I think there's a lot of like, I don't like the transition to manufactured homes just because it's like calls it confusing and nobody has empathy for it.

[00:23:59] I'm just trying to, he's trying to, you know, like do something where I'm like just plain speaking and he's going off and doing this corporate stuff now. I don't know. I don't know where his head's at. But anyways, yeah. Like, so you're looking at a site, you know, you know, got some little trailers on it. Have you, you know, in your investments, have you done any where you've bought those and then you basically have gone around and help sell more of the newer stuff to the folks that are there? Have you done anything like that or has it been more like syndicated investments?

[00:24:29] Well, both. So I have a few that I'm a part of the syndication and kind of helping assist converting the old stock inventory to new. And then also this, the, the second part that you, I'm sorry, the first part that you mentioned is actually what we've been doing more of is we get involved. We get tied into their community. And then we kind of do an educational process of like, Hey, this is what your home could look like. This is what your value could look like.

[00:24:57] And it becomes a win-win for the residents, for the park owners and for us to be able to make money as a company as well. So we're building. And the image for all the, also these types of communities, I think that improves the image as well. So there's, there's maybe less pushback from, you know, other people in that community, not the actual, you know, park community, but the, the surrounding areas. The, what was the question, Jake?

[00:25:24] No, I'm saying that as you've, as you upgrade these, I imagine that the, the impression and the image in the general community or in the surrounding areas improves as well. So maybe there'll be less pushback, you know, in the future and whatnot, because I'm sure that there's quite an improvement. So. Oh, absolutely. And if you haven't seen our YouTube channel and stuff like that, we really pushed how beautiful these homes look like, how beautiful the community looks like. We even have a lot of people that, that, you know, even neighbors that haven't worked with

[00:25:52] us that love the new homes that are coming in because it essentially like brings in more pride of ownership for people and people are more invested into that community as well. So they take care of their homes. What's the YouTube channel? It's Frank, it's Franco mobile homes is the, the YouTube channel. And like you mentioned, the, the sexy mobile homes is the Instagram. So. Got it.

[00:26:20] I'm going to keep my thoughts to myself. So, so I can, I can totally see the picture though, you know, from the investment standpoint, you go in, you buy a park, essentially you buy the lots. And then over time you could host quarterly, you know, dinners or, you know, community meetings where you start to showcase, Hey, Susie Jones down the road, just, you know, invested into one of these new homes. This is, you know, what it looks like. Everyone's walking by seeing the nice new

[00:26:49] home and then you're demonstrating the value and whatnot. And then it, you know, starts to create some interest in, from the neighbors. And I think, you know, you could see one after another begin to fall. Is that, is that sort of how it goes? Just, you know, out of curiosity. Yeah. Yeah. That's exactly how it goes. Yeah. And, and how long are you seeing, and I'm sure this varies from different community, but how long are the leases for on the, uh, the lots typically? So the, I also am a part of kind of like government,

[00:27:20] um, advocacy for the leases and stuff. There's a lot of protection on you. You essentially will have that lease month to month permanently at the time at the term that you own that home. So once you buy it, as long as you follow the rules and continuously pay that space rent and don't do anything that causes you to get evicted, you will stay on that lot. It's kind of like a condo or a townhouse with an HOA. Right. So they, they don't force you out.

[00:27:49] But the rate could vary. Right. So I guess that's, that's the, the, the component that I'm, you know, like, what's the term or the rate guaranteed for? Is it typically 12 months or is it, what is it? It's, it's typically month to month until you end up having to sell. Wow. And so it is, so there's no, there's no fixed component then for the resident in terms of, you know, uh, predetermined rates. I think that's where I'm going with it.

[00:28:17] Maybe if you're asking about the rent increases, each, each city and county has their own regulation of that rent increase, but if you're asking. Maybe in California, but maybe, but elsewhere, I don't think that's the case. So I guess it varies by state. So like, okay. So in California, are you, you basically, the lot owner has an opportunity to raise the rent once a year? Is that the idea? Correct. Okay. So you, you basically get 12 month leases for term sake and, and for, uh, predictability of payment and whatnot.

[00:28:48] Yeah. Franco, let me ask this question. If Susie puts the home up with you and a year later, she decides to sell, she can sell it's hers. And then Jay comes along with his course light. He can buy the home from her. He assumes it, he assumes lot rental and he assumes ownership of that, that mobile home. Is that how it works? Yes, exactly that. Okay. Gotcha. That's great. That's awesome. So they are building equity. They're paying down principal. They're living in an affordable community and they're building wealth. That's awesome.

[00:29:18] Yeah. I think it's the regulation difference from state to state. Cause that's not, you know, necessarily typical in all places, but that, that makes more sense. And that's why a little disconnect there. And I want to add to that disconnect a little bit because a lot of these protections are usually around in these high dense markets. And I also don't want to fool the viewers that not all mobile homes do appreciate the appreciation happens kind of in a lot of these,

[00:29:44] um, very expensive areas like Austin, um, Atlanta, you know, all of these coastal, coastal areas of California, even Seattle and stuff like that. So, you know, the main thing is showing that this is an option for a lot of those people that choose to live in a big city that, you know, whether it's for work or being closer to family, that this is an option that they have available to get out of that rental route race.

[00:30:11] Are you looking at anything currently, any investment opportunities on the horizon for yourself? We have a few stuff that we're, we're working on, um, mainly around building more parks in areas that need it. So what States? Idaho's one, Montana's one. Um, there's a few that's happening in Texas. Yeah. And so you're looking at it from like an investor side on those ones.

[00:30:38] Kind of. Yeah. Yeah. I'm again, I'm more on the, on the infill side. So we pretty much wholesale build, uh, multiple homes at the same time. So it's more aligned, more synergistic, you know, potentially. Exactly. Yeah. And I think this might be important to, to, to say as well as like building a single family home development takes two, three years sometimes in, in, in,

[00:31:06] in a city, whereas, um, or if I were to build a single family home on my own piece of land, it could take about 18 months to build with permitting and all that timeline. Right. But if we were to do a mobile home park conversion, we always consistently beat our record. We used to do it in about eight months, but now from start of the order to finish, we can complete a project in under three months total. Holy shit. Yeah. And with that, we're able to actually

[00:31:33] build not just one. Gino can't even close a deal in three months, let alone build one. But with that, we can even not only just one at a time, but build like 10 at a time in that time, in that timeline. Right. So, uh, because we're not dealing with a lot of the regular real estate permits that are required, we're able to kind of build a lot quicker. Oh, that's awesome. And

[00:31:59] because of the assembly line element of it as well. Yeah. And that, uh, do you try to apply that to the setting of the homes as well? So as they're coming in, you kind of keep the same crew one bang, bang, bang, knock them out. Exactly. And if you look at a linear timeline of a construction build, if I had land and I needed to build, usually it's one waiting for the other. It's the foundation, then it's the framing. Correct. All of that. Right. With, with this, we can build the foundation

[00:32:25] as we're building the framing, as you know, as we're also preparing all the other elements above. And that's how we're able to squeeze that timeline too. And you're doing it for all of them. So there's economies of scale for the contractor that has to do that prep work as well. Exactly that. Damn, Gene, I think he's selling me right now. Are you trying to sell me? He finally got excited. It took you three months to get excited. You weren't even excited about his color. Speed kills, man. You know, prime time Deion Sander going to the Cowboys right now. This is,

[00:32:54] this is big. Pick six, baby. Come on. That's a, that's, that's the, that's the, the golden nugget right there. So, um, any started with that. Sometimes you gotta, you gotta, you gotta just open up a little bit. We should have, man. Maybe just, Hey, next, next podcast. You're going to go on. Hey guys, I'm going to tell you some really nice things. It's great for the community. Okay. It's affordable to all that stuff. We can build this shit in 90 days, bro. Okay. You want to talk some real stuff. This is fast, you know,

[00:33:25] that's impressive, man. That is impressive. So, um, anything, um, you know, that you've, uh, you've read or any podcasts that you've listened to in the last year, anything about, you know, mobile home development, anything you want to share with the folks, uh, that are listening. Yeah, I think it's, it's really, man, if we're talking development, I think it's really just, I hate to pitch my stuff, but our YouTube channel really shows visually. I think if you haven't seen it,

[00:33:52] really take a quick look because I know we're talking about this audio wise and that type of thing, but people like us and also younger generations are really following our stuff because visually you can really see in our area by a $1.7 million home, it's still old school and old fashioned, but if you see what you can buy requires renovation, probably exactly. If you see the new homes we build, we typically will build it sexier than those million dollar multimillion dollar

[00:34:20] homes. Well, if the average house is a million seven, it's not going to be sexy. Exactly. And with that affordability element, you can really have that sexy and, or have that extra money to spend on that sexy, whether it's AI, like having a voice activated Alexa throughout your home, having all the lights being controlled by that. That's why people buy Teslas because they're like iPhones that drive. That's what I'm saying. Exactly. So we're doing that now with our,

[00:34:46] with our mobile homes and kind of allowing for that to be really that, that story and that, that light for affordable housing that we don't have an option for. Gino, he's saying people want to spend on the sexy. Maybe take us home on spending on the sexy, Gino. Franco, you want anything before I wrap this up? Nothing on my end. Thanks. Just spend on the sexy. Jake likes to wrap up because I think you've got an, an incredible story coming here from the

[00:35:15] Philippines at the age of 11 with your sibling and your parents. Unfortunately, you know, as you get older, you've got to work two jobs and you've got to support the family. And at the end of the month, it's really difficult because there's no money left over. You're barely able to pay the landlord. And in, in, in your part of California and many parts of this country, there is an affordable housing crisis going on. And instead of just saying to yourself, you know what, I'm going to quit.

[00:35:41] I'm just going to fall into the trap, become a victim, fall into that rat race. You decided to go start selling real estate and you like it. You're really good at it, but you're like, you know what? It's not really my passion. I know what I want. There's nobody helping the middle class right now. Everyone likes to help rich dudes like Jake. He's got money. You know, I mean, he's, he's an ironic person because he drinks Coors Light. Easy to make money, you know, when you're, you're dealing with people with money, right? It is. But at the same token, there's so many millions of people that are underserved in the affordable housing space.

[00:36:11] And Franco decided, wow, mobile home parks. I stumbled upon something that could be the key, a key element to helping with the affordable housing crisis and looking at the mobile home park and the community itself as one of those elements and refurbishing those. And starting in California is an immense challenge, especially looking at it from two of the, both of us that are not in that area and saying, I want to solve this problem. And then actually going in these communities,

[00:36:37] showing them to be able to, you know, start with mobile home, create equity, more importantly, be able to live in an area or location where maybe you can't leave. Maybe you have family there, or maybe you have a job that you love, but you can't afford a house for a million seven, but you can't afford a mobile home for a mobile home, not a trailer park for $400,000. You can do that. And providing the solution is, is just an amazing thing. And, you know, listen,

[00:37:02] good luck to you continued success. And once again, working the working listeners get ahold of you. Um, all of our stuff is a www.franko.tv that has all of our links to our YouTube 3d tours and stuff like that. I'm, I don't know. I guess I'm just old enough to know when it was okay to call a trailer or a trailer because it is what it is. But, uh, you know, Gino's a little sensitive with kid gloves these days. And I would be remiss if I didn't give a shout out to Clayton Holmes, Clayton Holmes in our own backyard. You know about Clayton Holmes? Yeah, we work with them a lot.

[00:37:32] Work with them. Dude, they're as the crow flies 10, 10 miles from where I'm sitting right now, maybe five. So Clayton Holmes, good company, right? Yeah. Yeah. Clayton Holmes, make it happen. Gang, as always, we believe in buying deals for the long-term thinking decades. I'm Jake. He is the G daddy. We make it happen. We'll see you next time. Thanks, Franco. Thanks guys.